You misunderstand, " AND PTAD, PTBD" is not a valid instruction in the S08. It should be giving you a syntax error.

The AND instruction ONLY works with the accumulator. To AND the immediate value $AA to the accumulator, the instruction would be " AND #$AA". To AND the contents of memory to the accumulator, the instruction would be "AND <address>", regardless of whether <address> is flash, ram or a port. There is no instruction to AND directly to memory or a port.